Resource Estimate

Mithril Drills Wide, High-Grade Intercepts Confirming 550m Strike With First Systematic Drilling In The Copalquin-Zaragoza Structure At Target 4

By The Northwire Desk — AI Analysis Aug 27, 2026 · 07:30 MSG · 0.25 Mithril Silver and Gold Limited

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Mithril Silver and Gold Limited (MSG) has reported significant high-grade silver and gold intercepts from recent drilling at its Copalquin property in Durango, Mexico. The results, released on August 27, 2026, highlight strong mineralization at Target 4 (Copalquin Mine area) and Target 1 (El Refugio). The company also announced an extension of the known strike length of the Copalquin-Zaragoza corridor to 550 meters, with mineralization remaining open for expansion in multiple directions. Additionally, an upgraded Mineral Resource Estimate (MRE) for Target 1 was released, reporting 3,391 kt of Indicated resources at 4.26 g/t AuEq and 1,436 kt of Inferred resources at 3.28 g/t AuEq.

At Target 4, Hole CO26-001 returned 11.70 m @ 456 g/t AgEq (1.06 g/t Au, 381 g/t Ag) from 22.0 m, including 3.40 m @ 1,239 g/t AgEq (2.72 g/t Au, 1,049 g/t Ag) from 28.4 m, which further included 0.60 m @ 3,877 g/t AgEq (4.81 g/t Au, 3,540 g/t Ag) from 31.2 m. Hole CO26-002 intersected 13.95 m @ 387 g/t AgEq (1.76 g/t Au, 264 g/t Ag) from 88.85 m, including 1.00 m @ 1,747 g/t AgEq (7.03 g/t Au, 1,255 g/t Ag) from 97.0 m. Hole CO26-003 returned 6.50 m @ 320 g/t AgEq (0.22 g/t Au, 305 g/t Ag) from 93.4 m, including 0.80 m @ 1,890 g/t AgEq (1.07 g/t Au, 1,815 g/t Ag) from 97.0 m.

At Target 1, Hole LS26-008 returned 13.45 m @ 125 g/t AgEq (1.55 g/t Au, 16.6 g/t Ag) from 30.4 m, including 0.50 m @ 2,109 g/t AgEq (27.90 g/t Au, 156.0 g/t Ag) from 41.2 m. Hole LS26-009 intersected 0.60 m @ 93 g/t AgEq (1.29 g/t Au, 3.2 g/t Ag) from 82.2 m, and 1.50 m @ 134 g/t AgEq (0.91 g/t Au, 70.3 g/t Ag) from 125.3 m. Hole RE26-017 returned 0.60 m @ 194 g/t AgEq (2.63 g/t Au, 10.1 g/t Ag) from 402.0 m, and 0.55 m @ 545 g/t AgEq (7.54 g/t Au, 17.4 g/t Ag) from 404.95 m.

Geological analysis indicates that mineralization across the combined Copalquin-Zaragoza corridor is now extended to a strike length of 550 meters and 200 meters vertically. The structure remains untested 400 m to the northwest towards Target 1 (Refugio) and 600 m to the southeast towards Target 4 (San Manuel). Drilling successfully bridged the Copalquin and Zaragoza structures, testing the projected extension of the Copalquin vein along strike and across post-mineral dyke intrusions (Tapp).

The updated Mineral Resource Estimate for Target 1 includes the following categories:

Indicated: 3,391 kt @ 3.15 g/t Au, 77.8 g/t Ag, 4.26 g/t AuEq (343 koz Au, 8,479 koz Ag, 464 koz AuEq).
Inferred: 1,436 kt @ 2.23 g/t Au, 73.6 g/t Ag, 3.28 g/t AuEq (103 koz Au, 3,398 koz Ag, 151 koz AuEq).

The estimate utilized a cut-off grade of 1.5 g/t AuEq (undiluted) or approximately 1.0 g/t AuEq (fully diluted). The mining method assumed is Long Hole Open Stoping (LHOS) with average mining widths of approximately 4 meters, with conservative dilution assumed (92% recovery, 2m minimum shape width). Metal prices used were $3,300/oz Au and $50/oz Ag, with metallurgical recoveries of 96% Au and 91% Ag.

Samples were sent to ALS Global for preparation in Chihuahua and assaying in North Vancouver. Gold was analyzed via fire assay with atomic absorption (Au-AA23) on 30g charges. Silver ore grade analysis (Ag-OG62) was conducted for samples greater than 100 ppm Ag, with gravimetric determination (Ag-GRA21) used for samples greater than 1,500 ppm Ag. Gold gravimetric determination (Au-GRA21) was applied for samples greater than 10 ppm Au. Standards and blanks were inserted at a rate of 1 per 25 samples, with pulp duplicates at 3%.

Looking ahead, Mithril Silver and Gold Limited plans 25,000 meters of drilling for 2026. Drilling has already recommenced at Target 4 to test the structure to the southeast.

“These results represent an important step forward in our progress at the historic Copalquin Mine area within this large, high-grade gold-silver system. What began as an area with limited geological understanding has progressed with potential to be a substantial, high-grade mineralised corridor, with drilling demonstrating strong gold and silver mineralisation over a substantial strike length and across multiple levels,” said John Skeet, Managing Director and CEO.

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Mithril Drills Wide, High-Grade Intercepts Confirming 550m Strike With First Systematic Drilling In The Copalquin-Zaragoza Structure At Target 4

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